ABERDEEN oil services firm Coretrax has been acquired by a private equity firm which will support the company in a push for growth in global markets for services such as decommissioning.

Coretrax said London-based Buckthorn Partners had acquired majority stake in the business after making a substantial investment in the firm.

Coretrax’s founder Kenny Murray will continue to run the business with the existing management team.

The acquisition provides another sign International investors see good growth potential in oil services firms in Scotland, although sector players are still grappling with challenges posed by the sharp fall in the crude price since 2014.

In October another Aberdeen-based oil services group, EnerMech, was bought by US private equity giant, Carlyle, in a deal it is thought was worth around £450 million.

Buckthorn says it believes some subsectors of the oil services market will present attractive investment opportunities as long term structural demand and supply dynamics remain intact in spite of the current cyclical downturn. The rise in the crude price since late 2016 has boosted confidence.

Coretrax, which provides well clean up and abandonment support, is set to benefit from increased decommissioning activity in areas such as the UK North Sea as fields reach the ends of their lives.

It has operations in the Middle East and South East Asia, in which drilling activity has help up in recent years.

Coretrax has been winning business in the UK, Middle East and South East Asia. Buckthorn’s investment should help it expand in markets such as the USA and West Africa.